Answer:
a. Debt Equity ratio is calculated by dividing long term Debt by total equity of the company.
b.Equity Multiplier or P/E ratio=Market value per share/Earning per share.
Explanation:
a. Debt Equity ratio is calculated by dividing long term Debt by total equity of the company. The Debt Equity ratio can be calculated using the Market value of debt or equity. It can also be calculated using the book values of debt or equity which are included in the balance sheet of the company.
b. Equity multiplier is also known as price /earning ratio. A price/earnings ratio or P/E ratio is the ratio of the market value of a share to the annual earnings per share. For every company whose shares are traded on a stock market, there is a P/E ratio. For private companies (companies whose
shares are not traded on a stock market) a suitable P/E ratio can be selected and used to derive a valuation for the shares.
Equity Multiplier or P/E ratio=Market value per share/Earning per share.
Answer:
D. households demand goods and services that are supplied by firms, while supplying resources that are demanded by firms.
Explanation:
The circular flow of income shows how money moves in an economy. Firms pay households for resources needed in production. The money flows back to firms when households demands goods and services from firms.
I hope my answer helps you
Answer:
$15,000
Explanation:
Gross domestic product is the sum of all final goods and services produced in an economy within a given period which is usually a year.
When calculating GDP, only items produced in the current year are added. The house had been sold in 2007. Adding the sale to the GDP in 2011 would lead to double counting.
It's only the amount paid to the agent that would be added to GDP.
I hope my answer helps you
Answer:
a) see attached image
b) Friday's slope = 1/2
c) Kwame's slope = 1/3
d) Kwame's budget line since it includes 60 fish on one side and 20 coconuts on the other.
e) Kwame is willing to pay more fish per coconut
